A cryptocurrency wallet belonging to the German government has sold more than $54 million worth of Bitcoin.
The wallet offloaded 900 Bitcoin in three individual transactions. In the first transaction involving 200 BTC, the wallet address sent the coins to Coinbase. A second transaction with 200 BTC deposited coins to Kraken.
A third transaction involving 500 BTC, worth over $30M, sent the coins to a wallet known as “139Po.” The identity of this wallet is unknown.
Data from Arkham Intelligence blockchain intelligence advisor Arkham Intelligence shows that the German government wallet still holds around 46,000 BTC worth over $2 billion.
German Government Continues to Sell Bitcoin
The wallet address associated with the German government still holds significant Bitcoin. It has been selling BTC in the market, with the activity linked to the recent drop in Bitcoin prices.
The wallet associated with the German government sparked suspicion about selling activity on June 19.
At the time, this wallet completed a transfer of 6.500 BTC valued at more than $425 million.
While part of the Bitcoin is transferred to unlabelled wallets, most coins are moved to centralized exchanges. This activity indicates that the German government might be looking to sell Bitcoin.
This government wallet held nearly 50,000 BTC in February this year, with over 4,000 coins being dumped into exchanges and unlabelled wallets since then.
The funds sold are linked to Movie2k, a pirated movie website operator.
The German government could end up selling more of the seized coins, adding to the selling pressure that is already affecting the price of Bitcoin and other cryptocurrencies.
Besides the anticipated selling pressure from this government wallet, the defunct Mt.Gox exchange is also set to dump BTC into the market.
The Mt.Gox Rehabilitation Trustee has announced plans to start reimbursements in July. Since the creditors have waited to regain their coins since the 2014 hack, more price declines could be on the way as they choose to sell their coins.
Bitcoin Tumbles as Selling Pressure Mounts
The price of Bitcoin witnessed a notable price decline yesterday as selling pressure intensified, but the bears have since cooled.
Bitcoin is trading at $61,161 at 09:27 a.m. EST. After briefly dropping below $59,000, Bitcoin is now witnessing a slight recovery, with the price creating a 24-hour high of $61,649.
Bitcoin’s trading volumes have been up by 38% in the last 24 hours, according to data from CoinMarketCap.
Nevertheless, the price volatility cooled off after yesterday’s market panic, which saw the Crypto Fear and Greed Index drop to 30.
However, the price of BTC could be headed toward a bold recovery, according to analyst “Captain Faibik” on X.
The analyst noted that Bitcoin had formed a bullish flag pattern, and the price could continue to skyrocket, with the next stop being $88K.
